MENU

Imagination prepares to cut 20% of staff

Imagination prepares to cut 20% of staff

Business news |
By Peter Clarke

Cette publication existe aussi en Français


Processor IP licensor Imagination Technologies Ltd is preparing to lay off 20 percent of its employees, according to Reuters.

The decision to cut back has been taken due to challenging business environment over the last 18 months, Reuters referenced an internal message saying. It follows shortly after a similar move by another processor IP licensor, SiFive (see SiFive lays off 20 percent of staff, re-aligns business).

Imagination’s cuts are company-wide and across all units, the report said, quoting a statement from Imagination saying the company was taking the “steps necessary to adapt to the challenging and evolving market.”

The UK-based company is best known for supplying graphics processors as intellectual property and was for a number of years a supplier to Apple. It signed a renewed license with Apple in 2020 (Apple able to use more Imagination IP under renewed deal) but this came only after Apple had in 2017 pulled support for Imagination saying it wanted to design its own GPUs. This collapsed Imagination’s share price and forced the sell-off of the company.

Imagination was bought by private equity company Canyon Bridge, which administers funds from China Reform Holdings. Imagination had about 560 employees at the end of 2022 and about 130 jobs in the UK are at risk, the Reuters report said.

In 2022 Imagination grew revenues by 23 percent to US$188 million, according to market research firm IPnest. This growth was slightly above the IP market average but below the top-ten vendor average (see Arm grows market share in bouyant IP market).

Related links and articles:

www.imaginationtech.com

News articles:

SiFive lays off 20 percent of staff, re-aligns business

Apple able to use more Imagination IP under renewed deal

Arm grows market share in bouyant IP market

How much did Apple pay to settle with Imagination?

Apple dumping Imagination GPUs: in discussions

Apple hires group of UK GPU engineers

If you enjoyed this article, you will like the following ones: don't miss them by subscribing to :    eeNews on Google News

Share:

Linked Articles
10s